M/S KUT ENERGY PVT.LTD V. THE AUTHORIZED OFFICER PUNJAB NATIONAL BANK

SC- Setting aside the order of the Himachal Pradesh HC and directing  that the amount deposited by the appellants in terms of the order dated 11.10.2017 be returned to them, the Hon’ble SC held that the deposit of Rs.40 crores in terms of the HC order made by the appellant was only to show the bona fides of the appellants when a revised offer was made by them. It was not towards satisfaction of the debt in question and that is precisely why the HC directed the deposit would be treated to be a deposit in the Registry of the HC. It reiterated the law laid down in Axis Bank that the ‘secured creditor’ would be entitled to proceed only against the ‘secured assets’ mentioned in the notice under Section 13(2) of the SARFAESI Act.-Hon'ble Justices Uday Umesh Lalit and Vineet Saran[20-08-2019]
Read the full judgment with iDRAF (Issue,Decision,Reasoning,Arguments,Facts)-https://www.legitquest.com/ms-kut-energy-pvtltd-vs-the-authorized-officer-punjab-national-bank